Cheese is a product made up from milk, or from a milk-like substance taken from plants, that can be either firm or soft and is usually white or yellow in colour. There are many various types of cheese that are manufactured all around the world, including cheddar, feta, gouda, parmesan, and camembert. Cheese has long been valued for its versatility and long shelf life. In addition, it contains a lot of calcium, which is crucial for developing strong bones, and particular high-quality proteins, which are responsible for the structural squares at the centre of firm muscles. Because it contains a lot of protein, fat, and calcium, cheese is becoming more and more popular. One of the elements influencing market expansion is the accessibility of cheese, which comes in a variety of flavours and has advantages over milk. Growing consumer health consciousness is also anticipated to increase demand for cheese. Market expansion is being driven by the expanding food and beverage sector, which is being followed by the expanding demand for processed foods.
According to the report titled "Global Cheese Market Overview, 2022–2027,” published by Bonafide Research, the market was valued at more than USD 130 Billion in 2021, and it is anticipated to grow at a CAGR of more than 4% from 2022–2027. With the rapid rise of the food industry, the cheese market is growing as people have a more variety of food available in the market with different tastes and also as per the preference of the customers. There are various types of cheese in the market which are taken into the product segment of the report and the products are Mozzarella, Cheddar, Feta, Parmesan, Roquefort and others. Cheddar cheese is dominating the cheese market, with the market share of more than 25% of the entire market. On the other hand, mozzarella cheese is used in pizza and several pasta dishes, due to which it is also demands a lot and with the rise of fast food, the demand for mozzarella cheese is also going to rise.
The worldwide natural cheese industry is observed to be rising at a constant pace as of today, among which natural crumbled natural cheese is observed to be paving the way to a higher market. Natural cheese is a highly nutritious and palatable milk-based food item in a wide range of textures, tastes, and aromas globally, with around 2,000 varieties at present. The global natural cheese market is growing primarily due to the increasing consumption of natural cheese across the globe, the growth of the HoReCa industry, and the rapid growth of the organized retail sector in emerging economies. However, the increasing prevalence of obesity and associated health consciousness among consumers are hampering the growth of the market. The growing demand for vegan and plant-based natural cheese is anticipated to create an opportunity for the growth of the global natural cheese market during the study period.
McDonald's and Domino's Pizza have effectively developed a pizza and burger demand tradition all across the world. Both items are loaded with cheese and are sold at subsidised prices, enticing customers to try them. The achievement of the Asian market, where cheese was essentially non-existent, is the most significant milestone in the evolution of the cheese business. Since fast-food chain franchises took over the Chinese people's sense of taste, for example, China has experienced a surge in cheese consumption. Chinese cheese manufacturers are now finding it difficult to keep up with the rising demand and are heavily exporting the product.
On the basis of source, the cheese market has been divided into two parts i.e. animals and plants. Cheese can either be made from the animals, i.e. the milk of animals or the plants milk-like substance. The market has been dominated by the animal’s source to make cheese, with it having the market share of more than 95% of the total cheese market. As is the way cheese is made for a very long time. But now other sources are used to make cheese, such as from plants. And as the trend of having vegan food is going on, the cheese is also made from the plants to meet that demand for vegan cheese.
The cheese market has been bifurcated into two parts on the basis of type and i.e. natural and processed. By natural type, cheese is made from four basic ingredients milk, salt, “good bacteria” and an enzyme, rennet. While processed type a cheese is obtained by the mixing, grinding, melting and emulsifying of one or more varieties of cheeses with the aid of heat and emulsifying salts.
The cheese market has been divided into five regions, which are North America, Europe, Asia Pacific, South America and Middle East & Africa. Out of all these regions, Europe is the most dominating one with the market share of more than 40% of the cheese market, followed by the North America region. The people in that region consume more pizza and fast food. As the disposable income of the people of the Asia pacific region is increasing, the cheese market is also growing with a CAGR of more than 8% in the forecasted period.
The European cheese market continues to gain momentum with the rapid development of the food industry. Cheese is one of the most popular foods across the world because of the variety it offers. Cheese is prepared using cow milk, buffalo milk, and goat milk. However, buffalo milk consists of large amounts of fat. The majority of cheese factories use buffalo milk to make their products. Cheese is a vital ingredient in the dishes of many countries. Cheese plays a pivotal role in the local cuisines of numerous European countries. This represents one of the primary factors propelling the growth of the cheese market in the region. Moreover, the increasing consumption of authentic regional cheese, along with the escalating demand for cheese ingredients, is strengthening the growth of the market. An increasing variety of cheese with different flavours on the market, a growing preference for high-protein food items, and changing eating habits are expected to drive the European cheese market. However, cheese has a high fat content, which restricts its consumption amongst the obese population, thus hampering the growth of the cheese market. But, growing cheese demand from developing economies along with an increasing focus on research for innovation in cheese products will propel the growth of the cheese market during the forecast period.
On the other hand, the North American cheese market is experiencing moderate growth owing to its large consumer base, the on-the-go lifestyle of consumers, and the high demand for unprocessed cheese across the region. Moreover, the easy availability of the product and new flavour innovations are anticipated to strengthen the demand for cheese in the upcoming years. With rapid industrialization and urbanization, the disposable income of the population has increased significantly. Hence, a large segment of consumers is spending on food items that are convenient and readily available. This has increased sales of cheese slices used to prepare sandwiches, salads, and other similar easy-to-prepare food products in the North American region. In addition to that, the rising prevalence of western food culture, along with hectic work schedules, represents one of the significant factors strengthening the cheese market's growth in the Asia Pacific region. Moreover, the presence of a wide variety of cheeses in the market, including mozzarella, cheddar, parmesan, feta, and roquefort, is driving overall sales in the region. Apart from this, leading players are introducing unique spreadable cheese flavours to expand their consumer base. Cheese is one of the most popular foods across the world because of the variety it offers.
The cheese market in South America is primarily driven by significant growth in the food and beverage industry. Along with this, the proliferating quick-service restaurants (QSRs) across the region and the shifting dietary preferences of the masses are creating a positive outlook for the market. Moreover, the increasing preference for online food delivery services is also providing a boost to market growth. Other factors driving market growth include rapid urbanization, innovative marketing strategies adopted by numerous regional players, and the introduction of processed and flavour variants of cheese. Cheese is produced by the milk protein casein. It is a rich source of essential nutrients, such as protein, fat, calcium, and minerals. Cheese is widely utilised in the preparation of a variety of dishes, their consumption aids in improving bone health and preventing osteoporosis. Some of the commonly available cheese variants on the market include parmesan, cheddar, Roquefort, and feta.
On the other hand, it is no secret that the Middle East is home to some of the most well-known types of cheese in the world, including labneh and halloumi. The lengthy history of this food staple and its unexpected discovery in modern-day Jordan over 10,000 years ago, however, may be even more astounding. Jordan still practices the art of creating cheese today. There is a resurgent appreciation for the ancient methods of making cheeses by hand, using fresh, local milk, frequently from free-range sheep and goats, even if many of the traditional cheeses, like labneh and halloumi, are now produced commercially. The Middle Eastern environment and way of life have been taken into account when adapting the traditional dairy production and preservation techniques.
• In August 2021, Dairy Farmers of America, Inc. introduced a new cheddar cheese curd flavour in the market, namely, green onion. This product helps the company to target squeaky cheese lovers in the market.
• In October 2020, Fonterra has signed a sales and marketing agreement with Land O'Lakes, Inc., one of America's leading daily cooperatives, to expand its U.S. Foodservice business. The agreement will allow Fonterra's foodservice products to be distributed in the additional U.S. foodservice outlets.
• In May 2020, St. Paul Group acquired the processed cheese, analogue cheese, grated cheese, and air-dried cheese activities of Givaudan/Vika. This acquisition would help the company to strengthen its position in the industry and offers a diverse range of cheese-based, analogue, and vegan food products for the global consumers in the food industry.
Due to fluctuating demand, the industry experienced severe disruptions during the COVID-19 pandemic outbreak. The worldwide lockdowns caused the foodservice industry to close, significantly reducing demand for all processed food products. Furthermore, as high-quality products become less popular, prices are expected to fall. Increased adoption of low-cost varieties at wholesale prices from retail outlets for home cooking, on the other hand, is expected to balance the supply chain. Following the pandemic, the re-establishment of the foodservice sector and renewed cheese processing capabilities are expected to flourish in the global market in the coming period.